China to purchase more metals: report

China plans to buy various kinds of base metals as reserves with a view to spur domestic demand, the South China Morning Post reported, citing Wen Xianjun, vice-chairman of China Nonferrous Metals Industry Association (CNMIA).

As a result of the global financial turmoil, the metal market of mainland has suffered a lot with shrinking demand which caused plunging prices. Therefore, relevant government bodies have been planning to purchase resources and materials to boost prices.

Wen revealed earlier last week that CNMIA has already submitted proposals to the government for raising the aluminum reserve.